AD/CVD Rules Update Published

The Commerce Department is updating its trade remedy regulations regarding the administration of the antidumping and countervailing duty laws, formalizing the tariff treatment of non-market economies.

The proposed rewrite covers 28 sections of Part 351 of the Tariff Act of 1930, as amended, including,

The Act  directs Commerce to order U.S. Customs and Border Protection (CBP) to collect cash deposits as security pursuant to multiple determinations in its proceedings, until Commerce orders the assessment of AD or CVD duties.

1.  Revising Subpart A Heading to Part 351 to Include the Record of Proceedings, Cash Deposits, Nonmarket Economy Antidumping Rates, All-Others Rate, and Respondent Selection

2. Revising Commerce’s Filing Requirements to Allow Citation of Preliminary and Final Issues and Decision Memoranda Issued Before the Implementation of Commerce’s ACCESS Filing System Without Placing Them on the Record – §351.104(a)(7)

   3. Explaining Commerce’s Cash Deposit Procedures and Calculations Including Producer/Exporter Combination Rates, AD/CVD Hierarchies, and Effective Dates for Ministerial Errors – § 351.107

   4. Describing and Modifying Commerce’s Separate Rates Practice and Procedures for Nonmarket Economy Country Antidumping Proceedings – § 351.108

   5. Including Procedures for Selecting Respondents, Calculating an All-Others Rate, Calculating a Rate for Unexamined Respondents, and Selecting Voluntary Respondents – § 351.109

   6. Revising References to Persons Examined, Treatment of Voluntary Respondents, and Exclusion from AD and CVD Orders – § 351.204

   7. Clarifying that Assessment Rates May Be Calculated on an Ad Valorem or a Per-Unit Basis – § 351.212(b)(ii)

   8. Recognizing that Commerce May Select Respondents and Voluntary Respondents Practice in Administrative Reviews – § 351.213(f)

   9. Revising Header to Section 214 Identify Expedited Reviews Separately from New Shipper Reviews– § 351.214

   10. Revising Requirements for Submissions of Rebuttal Factual Information; Modifying Deadlines Concerning the Submission of Information Pertaining to Factors of Production and Benchmarks for Measuring the Adequacy of Remuneration – § 301(b)(2), (c)(3)(i) and (c)(3)(ii)

   11. Allowing the Provision of Business Proprietary Information to CBP Employees Investigating Negligence, Gross Negligence, or Fraud -- § 351.306(a)(3)

   12. Updating the Facts Available Regulations, Including Adding Language From the Trade Preferences Extension Act of 2015 -- § 351.308(g), (h), and (i)

   13. Revising Case Brief and Rebuttal Brief Regulation to Include Executive Summaries – § 351.309(c)(2) and (d)(2)

   14. Revising to Include Practice of Collapsing Affiliated Producers and Non-Producers – § 351.401(f)

   15. Addressing the Submission of Multinational Corporation Provision Allegations and Clarification that the Provision Does Not Apply to Nonmarket Economy Countries –
   § 351.404(g)

   16. Providing Criteria for Determining a Profit Rate Under the Constructed Value Profit Cap – § 405(a) and (b)(3)

   17. Revising Criteria for Determining Economic Comparability in Calculating Normal Value from Nonmarket Economy Countries– § 351.408(b)

   18. Removing the Integral Linkage Specificity Provision, the Agricultural Exception to Specificity Rule and the Small- and Medium-Sized Businesses Exception to Specificity Rule -- § 351.502(d), (e) and (f). Revising and Moving the Disaster Relief Exception to Specificity Rule and Creating an Employment Assistance Programs Exception to Specificity Rule -- § 351.502(d) and (e).

   19. Modifying the Benefit Regulation to Include General Treatment of Contingent Liabilities and Assets - § 351.503(b)(3)

   20. Creating an Initiation Standard for Specificity Allegations Regarding Government Policy Banks; Addressing the Time of Receipt of Benefit and Allocation of Loan Benefit to a Particular Time Period; Modifying a Provision Regarding Contingent Liability Interest- Free Loans - § 351.505(a)(6)(iii), (b), (c), and (e)

   21. Address the Treatment of Firms in Government Designated “Outside Customs Territory” Zones – § 351.509(a)(1) and 351.510(a)

   22. Recognizing the Use of Sales from Government Run Auctions – § 351.511(a)(2)(i)

   23. Addition of the Purchase of Goods for More Than Adequate Remuneration Regulation – § 351.512

   24. Removing Reserved Regulation Regarding Import Substitution Subsidies - and Creating a Regulation to Address Indirect Taxes and Import Charges on Capital Goods and Equipment (Export Programs) - § 351.521

   26. Revising Commerce’s Attribution of Subsidies to Products Where There are Corporations with Cross-Ownership and Trading Companies, and Creating a Subheading Regarding Subsidy Calculation in Economies with High Inflation - § 351.525(b), (c), and (d)

   27. Removing Regulation Regarding Program-Wide Changes and Creating a Regulation Regarding Subsidy Extinguishment from Changes in Ownership - § 351.526

   28. Modifications to Four Provisions to Address Cross-Reference Changes Pursuant to This Proposed Rule – §§ 351.104(a)(2)(iii), 351.214(1)(1), 351.214(l)(3)(iii), 351.301(c)(1), and 351.302(d)(1)(ii)

   Comments are due 60 days after publication date (September 12, 2024).[Link to FR Notice]